M&A, IPO deals win awards for banks

KUALA LUMPUR: The Rm11.85bil merger and acquisition (M&A) between Sapuracrest Petroleum Bhd and Kencana Petroleum Bhd has been named the Best Deal/most Innovative Deal in South-east Asia at the annual Deal & Solution Awards 2011.

The organiser of the annual award, Hong Kong-based Alpha South-east Asia magazine said the M&A had demonstrated that strategy diversification and an enhanced balance sheet for the integrated oil and gas service provider was fundamental in winning the award.

CIMB Investment Bank and Maybank Investment Bank acted as buyside financial advisors to Sapuracrest Petroleum while Goldman Sachs, Morgan Stanley and RHB Investment Bank acted as its sellside financial advisors. Credit Suisse and Aminvestment Bank were advisors to Kencana Petroleum.

CIMB Investment Bank, Maybank Investment Bank, RHB Investment Bank were honoured for Best Equity/ IPO Deal of the Year in Southeast Asia for their capital fundraising efforts in offshore-support-vessel operator, Bumi Armada’s Us$888mil initial public offering in 2011.

At RM3.03 per share, the shares offered were priced at the higher end of the book building range of between RM2.80 and RM3.15.

Despite the challenge and coupled with worries about the worsening outlook for the global economy, the retail offering was oversubscribed by 9.5 times.

And even though retail investors were for the first time in Malaysia’s capital market history not offered a share discount, the demand was overwhelming.

Institutional investors’ demand approached 40 to 50 times the number of available shares.

The Government received a borrower/issuer award, Best Islamic/ Most Innovative Islamic Finance Deal in Southeast Asia, for its Us$1.2bil and Us$800mil Wakala Global Sukuk in 2011.